Re <<Huh? CIEN had $1.6 billion in sales last year; MRVC had $330 million>>
Goodness, I am talking about sales/share ratio. Net sales is not relevant. You must have gone to Paul Engel school of finance.
I am talking about total sales for 2001. I have no idea what you mean by net sales. And I am sure that did not go to any school that Engel went to! <g>
Re <<Maybe my math is whacked...liberal math and all, you know....but I get that CIEN is cheaper by a country mile. However, by your comparison JNPR is 50% more expensive with $900 million in sales and its stock trading at $9.>>
Not fuzzy math, but it does ignore the very fundamental in investing, which takes into account the number of shares outstanding.
You will have to show me how you determined that MRVC is cheaper than CIEN based on share count. Again, my math says that ain't true.
Re <<As for margins, again, Huh? In the last quarter, MRVC had a Gross Margin of 19%, CIEN's was 40% and JNPR's 54%. These numbers are from Market Research.>>
Gross margin is nothing, you can do all sort of fancy accounting with Overhead and SG&A. Always consider net margin.
I always use NPM but with such a disparity between MRVC, and CIEN and JNPR in terms of GM, I didn't bother to quote the NPMs for them. However, the five year ave. for CIEN Is 11%, JNPR is 10% and MRVC is <12%.
ted |
